St. Paul daily globe., 1887-10-15
is 1T SPITE WORK :?
Hon. Buell. Hutchinson Dis
euSSes the VilaS-Welch
Libel Case.
He Was Secretary Of the
Madison Fire Insurance
Company,
And Says Its Affairs We're
Square and Without Any
Concealment.
He Thinks Welch's Home
Diary Articles Are Purely
Spite Work.

The grand jury of Hennepin county
recently indicted William p. Welch, a
Minneapolis lawyer, formerly of Mad
ison, Wis, for ibeling Postmaster Gen
eral Villas. The case has attracted pub
lie attedtion particularly because OF the
prominence of the parties interested in
it. When Mr.. Welch lived in Madison
be edited little publication called the
''HOme Diary" which. it is alleged, was
run more as personal organ than for
profit or the public benefit. In this
journal Editor Welch accused MI.
Villas of being instrumental in
wrecking the defunct Madison Fire In
surance company, and having been en-
gagged in many questionable transactions
in connection Herewith. The sum and
substance of Welch'S charge was that
Villas and his associates had gobbled up
the assets, leaving the stockholders the
bag to hold. Upon evidence going to
show that Welch was guilty of this pub
lication, the grand jury of Hennepin
county indicted him
FOR LIBEL.
Mr.. Welch has filed several demurrerS
to the Indictment, and the case will be
called in the Hennepin county district
court to-day to be heard on the demur-
rers. Hon. Buell. E. Hutchinson, of
Madison, who was director in the fire
insurance company, was in this
city yesterday and was interviewed
by the GLOBE respecting the
matter. Mr.. Hutchinson is one
of the most prominent citizens of Madi-
son, having lived in that city for a
quarter of a century and in Wisconsin
nearly all his life. He was repeatedly a
representative in the state senate and
assembly from Madison, and has just
completed a term as United States re-
ceiver in Dakota. He is now in the
city on visit to his brother-in-law. DIR.
John f. Baker, and has son who is a
promising young lawyer Of this city.
Mr.. Hutchinson is lifelong Republi-
can: and. suppOSing. that he would not
have any partisan bias in favor of Mr..
Villas, the GLOBE sought him out with
the request that he furnish statement
of the facts concerning Mr.. Villas con-
necti0n with the Madison insurance
company. of which Mr.. Hutchinson was
director and secretary at the time its
affairs were closed out.
MIR. HUTCHINSON SAID:
Mr.. Welch is a master of vituperation. He
loves to utter singing sentences. Whether
of friend or foe. true OF false. is not OF the
slightest consequence. His ideal hero is the
street Arab tying blazing crackers to dog S
tail. whether child's pet or NANCY cur. His
denunci alton of the city of Madison is as
scandulous as Of Col. Villas, but as he is
charitably regarded as crank, the citizens
tolerate his abuse as they do the sting of any
other gnat Towards Col. Villas he has
borne special spite, and probably he can show
some sears from the colonels lash. Very
likely those inflicted about the time he left
Madison tingle as sharply as any his tongue
or pen infiict. l should take no notice of the
matter but for the gross misstatements fur
nished by Mr.. Welch to the press, to influence
public opinion pending his indictment.
Something is due to Col. Villas and the other
gentlemen associated with him. Three of
these, Timothy Brown, Andrew Proudft and
William Dudley, are dead, and no cleaner.
better men have lived or died in that city,
1t was their home for more than q quarter of
a century; neither their word nor their honor
was ever challenged; each had accumulated
q fair fortune in honorable business and
none stood higher before their townsmen
Neither Mr.. Welch nor his Home Diary
can sully their reputation: but the sons and
widows of these men feel some natural in
dignation at these calumnies. AS am in a
position to know whereof speak. ! do not
hesitate to say that in every essential particu-
lar the statement of Mr.. Welch is without the
shadow of foundation. I furnished Welch
with the material facts at his request and he
is without excuse in his version OF the affairs
of the insurance company. 1t was never
wrecked by any one. The policy-holders
were not swindled and every obligation
was met to the last hour. Mr. Welch also
knows that the company had done cash
business for years, and that there were but
very few mutual members when it retired.
and these were entitled to share in the small
surplus equally with the depostors. He also
knows that the guaranty fund was no myth.
but consisted of city and township bondSeX-
press stocks, bonds and mortgages, etc, duly
assigned TO the company and never for one
hour out of its possession. In the event of
such disasters as overlook the company in
the Green Bay ard Peshtigo fires this fund
might easily have been swept away. The in
cvlable fate of mutual companies was seen
to be approaching, and nothing but capital
would avert ii, and this deposit was made in
perfect good faith 10 strengthen its credit
and enable it to compete for paying buSi-
ness. This fund was not large. but il was
sufficient TO test the experiment. and when it
was found unsuccessful the directors, like
honest men. foreStalled insolvency by rein
suringits risks with the approval of the same
commissioner whose report Mr.. Welch per-
verts and misstates After all this was done
an insignificant sum (not a tenth part of
Si75.000 was distributed as provided by
law Ii was square transaction and with
out any conccament, and no one fears the
fullest investigation.